maria: welcome back. thank you for joining us. it is time for "varney & company." stuart, over to you. stuart: thank you, maria. this is not a drill. big snow. look at the radar. you can see a calming. 29 million of the blizzard warning. what canceled. it is a big deal. they turn to the left. that is big trouble for your up. close to the lows again. we have to put this in.

michael moore insults snipers and jesus once again. this guy is irrelevant. it is a blizzard of 15 that has grabbed our attention. varney and company is about to begin. ♪ stuart: you can see the effects already of the approaching lizard. you look comfortable. spell out the disruption. we are at the total mercy of mother nature. we are looking at 2000 flight

cancellations just today alone. the three airports with the most . here in washington, it is mostly raining. it has been most of the morning. we are only expecting to-4 inches here of slushy mess. the new york city airports. white plains boston, port name, all going to be severely affected. delta has canceled or than 600 flights today because of the weather. we issued a waiver today. they are encouraging their passengers to log onto twitter to find out the latest.

[laughter] stuart: that was a lot of fun there. thanks a lot. we will see you soon. extreme leftist sweeps the power and grace. it is bad for the euro. it is good for the dollar. look at this. we put together this list of desert stocks. home depot you have to buy the shovels and everything. netflix, no better time to binge watch. big demand. we have to talk to the ceo later this hour. he loves this weather. it makes him a fortune. now, the price of oil.

it looked like it was going to challenge its recent lows. the story, though, is in gasoline. it is always in gasoline. may be the gas price collapse has stalled. $2.03 as of right now. the cheapest gas in the land is $1.50. now, the lowest is $1.50 idaho. , on or from chicago. we thought we were going to drop below $2 for a national average. we are at $2.03.

have we stalled? >> i am getting some help by the weather up high you. everyone else, of course, will be staying home. that creates a lot of demand structure. >> that is interesting. tens of millions of people will be given the day off tomorrow. >> many siding the significant drop in traffic that will be taking place. it is a lot of motorists that will not be on the road the next 48-72 hours. stuart: do you think we will get well below $2 a gallon?

>> i think we could see prices drop to $1.90. they think that oil prices are close to bottoming out. i agree. >> you have to take their word. they are the ones that are primarily pushing the price down. >> absolutely. it is all fair game. stuart: you have had a great run. you have made a ton of money. maybe it is over. we shall see. thank you. disappointing profits at mattel. the ceo has resigned. come on in, the the --

nicole: the truth of the matter is, the guy was pretty much ousted because of the disappointing holiday numbers. back a couple years ago, it had more than 25% market share. as of 2013, that drop below 20%. the kids today are looking at tablets. if they do want dolls and accessories, they are going else where. stuart: thank you very much, indeed. then we have "american sniper," the movie. held on over the weekend at the box office. michael moore. he is not done yet.

look at what he tweeted over the weekend. i tried to save their lives by stopping them from sending their deaths to iraq. what would jesus do? hide on top of the roof and shoot people in the back. kt mcfarland is here. i am disgusted at it. i know you are too. >> there are american heroes that are willing to plead and die for your right to have more big macs. i am sorry. that was really petty. here is a guy who is really talking about american heroes. somebody has to pay the price.

it is not just somebody who is a sniper. somebody whose family goes to war and has two live with the rest of it. stuart: tell me about the latest with terrorism and hostages. we got back to america. they have been there for years i think because of the death of their daughter. that looks like a direct swap of hostages.

you can swap them for prisoners. you want to get back into the fight. when i was in the reagan administration he was taken hostage and tortured did ultimately, killed by hezbollah. the terrible thing in any president do you try to get that person out knowing that if you do you are signing the death warrant for future american hostages. no. we do not negotiate with hostages. there is a reason for that policy. >> the islamic terrorists used

to be funded by oil money. stuart: have they just turned into a gang, essentially? >> that is what they used to do. they are business. the way they raise money are two things. they would take hostages, europeans, primarily. they would ran some them. stuart: at this point, are we winning or losing this fight against terror? >> it is not something you can do ad hoc. it has to be a bigger way to win a war. >> that is what we are failing to do.

>> k.t. mcfarland, everyone. thank you. it has the backing of some big names. cheryl casone is here. an actual office. i could walk into it. >> it is going to be online. this is the thing that they needed. it will be regulated. the new york stock exchange are backing this company. they did go live today. this will be the first time you ever have an exchange license. >> is it a physical place? >> it is still on the web but it is an exchange.

>> you can trade with others. >> it is a step off at this point. >> i never bought it. i thought it was a bunch of malarkey. this company is now back to the financing. you are going to get insured. you will get your money back. stuart: exactly. cheryl, thank you very much, indeed. stuart: to super bowl ads getting a lot of attention. two very different styles. tugging at the heartstrings of parents. which one is the most effect

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stuart: a loss for the dow jones industrial. pre-blizzard. down 22 points. that's what we've got. this year's carl junior ad will definitely get you talking. sex sells, they know it. i want to play you a clip with the sound. roll tape. >> nothing between me and my 100% all-natural juicy --

>> introducing the all-natural burger. stuart: i think you get the gist everybody. you made this ad. >> it is kind of crude. it pushes the envelope. do you think it is a success? >> so far the indications are it has been. it is all the ads being released before the super bowl. the most views on youtube. bull's-eye for this audience. we try to develop products that are relevant to them. they really connect with them. >> clearly, it is a success. no question. what you have done is to give

carl's junior a very raunchy image. is carl's junior comfortable with that image? >> a lot more fan mail than complaints. a great worker that has already started selling incredibly well. we try hard not to cross the line. >> there is another ad. you will obviously see a little bit of it. there is no sex in this whatsoever. it is about the parent and the child and the relationship between the two. he gives a very different and

wholesome image. >> any advertising in general is really a return. what you want to do is make communication that really connects your target audience. i think the audience is a different audience than the carl junior audience. i am sure they are looking at how they perform as well. stuart: next time around, you think you better go for full nudity? [laughter] >> doubtful. companies are really revolutionary with products. the first fast food chain.

they do not just push the envelope in terms of advertising. stuart: do you have this going forward? >> it has been over five years now. it is a long term relationship. stuart: you clearly have a success of sorts on your hands. stuart: thank you very much, indeed. we will see you again soon. >> i say she looks great. she goes to the gym. good for her.

so those burgers. i see a lot of winners. i have no problem with advertisers using sexy things or people to sell products. it has been happening for decades. >> right. less than a week until the super bowl. according to one of the stars for the seahawks, there will not be any -- watch this for a minute. >> a full view of tom brady. clean cut. does everything right. never says a bad word to anyone. we know him to be otherwise. it will not have any affect on this. they will play this game. whatever they did the risk reward was greater.

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♪ ♪ i'm almost done. [ male announcer ] now you can pay your bill... ♪ ♪ ...manage your appointments... [ dog barks ] ...and check your connection status... ♪ ♪ ...anytime, anywhere. ♪ ♪ [ dog growls ] ♪ ♪ oh. so you're protesting? ♪ ♪ okay. [ male announcer ] introducing xfinity my account. available on any device. ♪ ♪ stuart: yes, the big game is sunday yes it's the super bowl. the seahawks have arrived in arizona, the patriots arrive today. fox sport's 1's pete. >> rayinger is in glendale right now. hi pete. >> hey stuart. stuart: flat out, i've had

enough of de-flategate. i just don't think this story merits the level of coverage that it's getting. what say you? >> it's only getting larger. now it's shifted towards the nfl, stuart. bill belichick doubled down on saturday, said hey, the science you're accusing us of doesn't work. he had a long, up prompted -- unprompted press conference, and today it came out that maybe the nfl knew about these balls before the game started in the afc championship game. basically, indicating that they let this game play knowing that there was an advantage for the patriots potentially at play. that's the rumor here in glendale. i think now the onus will be back on roger goodell -- stuart: what a mess. >> to say, hey, would you let this afc championship game go on knowing these balls were improperly -- stuart: what a mess! what a mess! over deflated footballs which have at best a tiny fractional

impact on the way they're thrown and caught, would you agree with that? >> stuart, they could have played with beach ball, tennis balls, the patriots were beating the colts that day. they absolutely demolished them. that's the folly of this all. it really didn't matter in the actual game itself but you have to wonder who's lying who's telling the truth and who knew what, and the nfl came out and said the investigation is ongoing. they hired a law firm ted wells is the lawyer who will be investigating. so it'll draw on and on. stuart: i'm sorry, we're out of time. [laughter] i'm pleased about that, actually, but keep us up-to-date with this story, pete. >> rayinger. >> i absolutely will. stay out of the snow. stuart: oh, i shall. $100 million spent on a luxury penthouse in new york city in the newest skyscraper that is 157. cheryl casone, our real estate guru. okay $100 million. >> yes. stuart: probably going to be a foreign buyer.

you agree with that? >> i agree with that because so many times i've covered these sales, and even when the buyer's kept secret, the broker will say it's a foreign buyer. think the saudis, the chinese think the russians. stuart: this becomes much more expensive for a foreign buyer because the dollar's gone straight up. they've got to find enough yen or euros to pay this huge dollar price which keeps going up. >> this sale closed on december 23rd which means the transaction -- the currency's what you're talking about that's a december story. but now, yes. stuart: now they've got to come up with $100 million. >> uh-huh. stuart: and it's going to cost them more yen or euros -- >> if they didn't already convert their money into dollars at the time, which maybe they did. we're looking at pictures of 157. this is a problem, you know why? because they're depending on that foreign money. there's ten apartments for sale in that building, fox business exclusively brought you the opening of the park hyatt which is in the bottom part of the

building. they've got a $39 million apartment for sale there's ten active sales in this building, and if you're not getting all these other foreign buyers coming in you've got a problem. but again a record breaker which i think is fascinating. stuart: i actually think they're topped out. the dollar's value tops out these crazy real estate prices. >> it's going to hurt them, yes. stuart: blizzard warping for the east coast -- warning for the east coast. three feet of snow possible in some areas. after the break a company that stands to benefit. a drone found on the white house lawn raises the question when is regulation coming? when is the government going to wrap its arms around drones? judge napolitano's got some strong feelings on that one and he's next. ♪ ♪

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and run on microsoft azure. empowering gamers around the world to interact in ways they never thought possible. this cloud turns data into excitement. this is the microsoft cloud. stuart: all right. we're down to points, that's a fraction of 1% -- 30 points 17,6 but look at ibm. the stock's moving up. there are multiple reports it's going to lay off about a quarter of its work force. that's more than 100,000 people. is that obamanomics striking again, maybe? ibm denies the report, but the stock is up.

now look at the share price of generac. we always talk about this company before a big storm, so let's bring in the ceo who is in milwaukee. ladies and gentlemen, look at this gentleman very carefully. he loves these catastrophic storms because they work wonders for generac. is that not the truth sir? >> well, stuart, obviously, you know, we -- [laughter] we care about people, we care about taking cower of people, and that's an important thing. but obviously, an event like this presents an opportunity for a company like ours that makes generators, and we'll have to see if thislies -- lives up to all the hype but our phones are jammed it's been a busy morning, to say the least. stuart: if i ordered one of your top of the line generators last week the first moment that i thought maybe we've got a big storm coming let's suppose i ordered one of these things on friday or maybe standard morning, i can't get it installed and up and running by time the storm arrives tomorrow

or tonight or tomorrow morning can i? >> it's -- that's a tough thing to do. i mean if you have -- if you're in line to get your generator installed, you might be lucky enough. they're obviously going to be installing a lot of products today. as long as they can go today until the snow shuts them down they're going to do it. by and large unfortunately people wait, you know as a society we procrastinate, and backup power plans are no different. what we find is that the small gasoline portable generators will become very popular after the storm hits. stuart: i've got one of your rolls royces. i've got one of those. >> thank you. stuart: i mean it did cost me $22,000 to install this thing, but i've got to tell the audience, it took me three months to get it installed and up and running. i had to have planning permission from the local town to put this thing many. >> right. stuart: then i had to build a concrete floor then a gas line to go to it. does that put some viewers off your product? >> whether well, certainly --

well certainly, you know, we have entry-level products that start under $2,000, products for large or homes and for businesses that, obviously, are a lot more complex, a lot more involved. this is a home improvement project, though, when you talk about the permanently-installed generators. you need planning permission you need contractors, a project to manage, and it can put people off. i think, you know, the average cost on these things when you boil it down with installation is still somewhere around that $4-$5,000 for a permanently-installed solution. obviously, we have gasoline portable objects, and that can carry you through until you can arrange to have one of the permanently-installed units. stuart: suffice it to say, you are doing very well indeed whenever we get these big storms. generac, good to see you. >> thanks for having me. stuart: look at the big board, please we're down 30 point 17,641.

we're down just a tiny fraction. patriots' coach bill belichick blamed those deplaited football -- deflated footballs on the weather. after the break a scientist that says, that's not the case. ♪ ♪ ♪ edward jones. with nearly 7 million investors oh hey, neill, how are you? you'd expect us to have a highly skilled call center. kevin, neill holley's on line one. ok, great. and we do. it's how edward jones makes sense of investing. if you're running a business legalzoom has your back. over the last 10 years we've helped over one million business owners get started. visit us today for legal help u can count on to start and run your business. legalzoom. legal help is here.

♪ ♪ >> nicole petallides with your fox business brief. right now the dow jones

industrial average down 34 points. we've already had some back and forth action with everybody here on wall street and around the northeast preparing for snow, a blizzard, in fact. the dow right now down two-tenths of 1%, the s&p down two points. some of your down movers include chevron and ibm. right thousand those two are higher up more than 1% each. intel, microsoft, 3m to the downside. home builders doing very well on the heels of dr horton's number came out with better numbers than expected better profit and taking the whole group up along with it. later in the group weal here from pulte group, up 1.7%. and generac, some of the traders talking about the fact they have their generators ready just in case. that's a big move, up 5.25% at 48.38. much more of "varney & company" coming occupy on fox biz. vestment isn't the only return i'm looking forward to. for some every dollar is earned with sweat, sacrifice, courage.

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stuart: what's the biggest story of the last three, four five months? the price of oil. well, we're down today down seven cents at $45.52. what's the biggest story of the last three or four months? well, the related story the collapse in gas prices. the collapse may have stalled. the national average, according to aaa, is $2.03 a gallon, and we've been there for the last three days. hence, the possibility that we have stalled. it's a big story, of course, we're on it. check out this from james in las vegas: $2.05 for a gallon of

regular at las vegas nevada. thanks so much james let's keep those pictures coming. well, i don't know exactly what -- we like to know exactly what you are paying around the country. less than a week to go to the super bowl and we're still talking about de-flategate. patriots' coach bill belichick tried to blame the weather for the deflated balls. now listen to this. >> will we all know that air pressure is a function of the atmospheric conditions. it's a function of that. so if there's activity in the ball relative to the rubbing process, i think that explains why -- stuart: is your head spinning like mine is spinning? i think we need some professional help here. here is a scientist and author of "newton's football: the science behind america's game." welcome to the program. >> pleasure to be hoar. [laughter] stuart: okay. let's not get too technical

here, you're the scientist, and i'm not. >> right. stuart: now, you say climate the weather, does indeed affect the inflation of the football. >> that's right. stuart: but these footballs in that championship game were deflated to the point where you cannot explain it in terms of worth. >> that's correct. stuart: therefore, you are saying somebody did it. >> i'm not saying someone did it, i'm saying we're overlooking something else. [laughter] stuart: well, how else could it have happened? >> the thing is we know -- what we've learned is that if you increase the temperature, the pressure changes. if you lower the temperature, the pressure changes. stuart: got it. >> so the weather can be a factor so that's one thing. but what belle check also talked about -- belichick also talked about is pumping the ball. you're measuring the air inside which is hot, so the temperature of the air will be hot. the pressure could be 12.5 and that's the temperature you're reading, but when that airing

cools down, that pressure's going to settle, and if you take it outside that temperature's going to go down even further and the pressure will go down as well. stuart: so you are saying that other factors had to be involved in the deflation of those footballs on that day -- >> that's right. stuart: other factors than what -- >> other than mother nature yeah. we don't get to the two psi with mother nature alone. stuart: it could have been somebody did it. >> i can't say -- stuart: can't rule it out. >> i don't know. but i know that it's not mother nature alone. if they did it intentional, i don't know that. i don't know that. but the process, the process does affect -- we have to know the starting point. you know, you're supposed to pump up the ball and wait. you want the air to cool down, and then you take the pressure. but if someone's overeager and they measure the pressure after pumping, they're going to get an erroneous measurement that's going to put them in the wrong place. stuart: now, you know a lot about football, and you're a scientist to boot. you've got both sides. >> right. stuart: don't you think this has

gone just a little bit too far? >> i'm with bell chic he's over it i'm over it too. stuart: really? >> yeah. the thing i'm excited about is everybody's talking about science. every day i've got tons of e-mails, people talking about science. this is awesome. stuart: but you also know bill belichick and tom brady, they cheated before -- >> they have a history -- stuart: and they were fined $500,000 between them. >> that's right. so i think that's why it's the story. if it happened with another team, couple of psi off, okay we have to figure out what happened and not do that again. but given who the team is, everyone's pointing a finger, looking at things under a microscope. stuart: after the super bowl to make this thing go away and stay away don't we need a new standard of psi for game balls checked by the refs before game? >> absolutely. we need a pressure, we need a recipe. you pump it to a certain level, you wait a certain amount of time, you measure it. and we could even go further. we can actually put sensors in a

football to measure the pressure so that fans can monitor it. stuart: really? >> oh yeah. if you can put it in car tires you can certainly put it in a football. so i think that's what should happen. we ought to enter the space age with football measurements. stuart: bet you never had a conversation with an englishman like this before, have you? >> no. [laughter] stuart: you're a scientist. you've studied these things. if you deflate the ball by two psi, two pounds per square inch does that indeed, make a difference as to how far it goes, the way it travels through the air the catchability of it? does it make a tangible difference? >> all the players would love to have an underinflated ball. from a quarterback's point of view it's easier to grab particularly on that rainy day. from a receiver's point of ball, it's easier to catch. a catcher would love to have a ball that's softer because you'll have more contact area and when the foot hits the ball, you'll have more momentum

transferred to the ball so it'll go out further. it's just easy to grab, look what i can do because my ball's underinflated. stuart: how many interviews have you done? you are the lady of the moment here. >> well, i feel fortunate. i got a chance to write "newton's football" last year, learned a lot about the game. i love teaching science so that's the reason why i'm willing to talk to good looking people by yourself. stuart: oh, stop it. that was deliberate flattery, and you love it. [laughter] >> it's a book that came out last year, i wrote it with alan st. john who's a sports writer and we asked -- stuart: there it is, "newtop's football." i want to know is it available on amazonsome. >> absolutely. stuart: if this broadcast and your appearance on it spikes the football book -- >> i will let you know. stuart: promise? >> i i promise to do so. stuart: so where's the book? usually you give me a book. >> they let me run out with just a football. stuart: before you leave this studio and get out into that

blizzard, you've got to give me a book. >> i will give you one. you'll hear about why don't woodpeckers get concussions, how did the face mask make the game more dangerous and why don't coaches go for it on fourth? it's not their fault it's in their genes. stuart: do you know i run a commercial tree farm and we hate woodpeckers? >> we'll, you'll love this. [laughter] stuart: who else could bring together deflated balls woodpeckers and tree farms? that was sheer job yous, don't you think? thanks so much for joining us. >> thank you. stuart: the new fox business show "strange inher inheritance," it debuts tonight. jamie colby is up next. >> in enid, oklahoma, which is about 90 miles north of oklahoma city. did you know how many cars grandpa has? ♪ ♪

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>> today i'm driving outside tacoma washington -- >> i'm doug lamay my father, harold, passed away in 2000 at the age of 81 and left us with a world record collection that has become a full-time job. >> he had made the decision through my grandmother that they were going to create a museum. stuart: you inherited what? joining us is "strange inheritance" host jamie colby. you got some interesting subjects. what i'm most -- i've read the list. tractors. there's a famous picture of me driving a tractor in a pair of sandals, which is really stupid. >> okay, that would be famous. that's a show in and of itself. stuart: it's not going to be. >> you have to be careful. i drove a tractor in this episode to kind of get a feel for what it's like to farm, and it's not that easy. a lot of gears going. stuart: so these things, people inherit tractors that kind of thing? >> this family loved tractors. their dad collected some of the most incredible tractors.

there were about 150 of them. and the question was do we keep do we sell, and how do we maintain the ones we keep? and the family had to make some decisions. but they get an answer they didn't expect. stuart: really? >> from their dad himself. they find -- well, i can't tell you the rest. [laughter] on each of these stories, i kind of want to stop short because there are twists and turns and surprises. i loved meeting these families stu. it was like getting from my mom permission to travel to 25 states on a field trip and seeing every way of life; ranching farming, electing, insect collecting whatever -- alligator wrestling. stuart: wait a second, insect collection? >> yes. stuart: somebody inherited a 900-acre insect preserve? >> it was a 900-acre piece of property with a bug museum of three generations of 100,000 insects, most extinct from all over the world. apparently a big bug-trading you know going on.

stuart: could they make money out of it? >> it's worth a lot. [laughter] stuart: what about -- >> especially seeing me pin a bug. that's priceless. stuart: oh yeah. >> there's a lot of reporter involvement here. i drove a model t with the lemay collection. you have the crank those. good thing i've been working on the guns at the gym. stuart: the lemay collection. >> yes spectacular. tacoma, washington a family who collected cars. and they had no idea how many they had until mr. lemay died and they found 52 storage locations with cars. stuart: they didn't know that lot was coming their way? >> they didn't know how many and they're in pristine condition. 250 not models makes. i didn't even know there were that many cars. so i learned about cars coins comic books you name it. tonight's baseball cards and two actors who you may recognize inherit something incredible from someone they never met. check your mail, it could happen

to you and me. "strange inheritance." stuart: the premiere is tonight, fox business network, 9 p.m. eastern. and by the way what's the bids that you're ringing the bell this afternoon? >> i'm closing the nasdaq later today. hopefully on time. and leave me that that can to have -- b tractor i was pretty good at -- stuart: not a prayer. >> where there's a will there's a way. stuart: yeah, yeah. good luck. elizabeth warren, oh, she's at it again. you didn't build that. she said that to big drug companies. the taxpayers had a hand in medical innovation. didn't you know that? plus, janice dean, the first forecaster to call this storm a blockbuster. she has the latest orphan the blizzard of -- on the blizzard of '15 that's about to slam us all. hour two is minutes away.

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stuart: i watched new york's mayor bill de blasio talk about something bigger than we've seen before. he was talking about the approaching blizzard. my first reaction come on your honor. that bad? that big? actually yes. what i thought might be a grab for the headlines is, in fact legit. and with technology you can tell what's real, and satellite actually lets you see what's coming. 1-3 feet of snow on the way along with powerful winds and probably a storm surge along the coast. this is primarily a human story. the authorities are telling people to be prepared to stay indoors for a couple of days. the fun fades fast, doesn't it? what happens if you absolutely, positively have to be at work? you're going to struggle. my heart goes out to the people who have to be at work, but the children will be home at school. what on earth are you going to do? schools are closing all over. i hope you have a generator i

hope your boss has given you the day off, i hope you can sit back and watch the storm through us because we absolutely positively guarantee that "varney & company" will be here for you. ♪ ♪ stuart: i think i can safely say this, the blizzard of '15 will shut down new york. so let's go to nicole at the new york stock exchange. is it going to be open tomorrow? i ask that question because i don't think it needs to be open. most trading is electronic these days, isn't it? >> well, a majority of trading is electronic, but, however, we are going to be open. obviously, you have a lot of trading that goes on right here at the new york stock exchange. you have a lot of humans who follow these stocks very closely. they are going to be onboard with their staff ready much like "varney & company." the news never sleeps and neither does wall street for that matter. they don't take days off here

very easily, and they've already sent out the notices that they are ready, they're going to be staffed, they have made their preparations for today and tomorrow for normal operating hours. all these guys, i'm already talking to them, they've got all their hotels ready and they are geared up to stay here overnight. and you know they don't really close this place much. you had sandy a couple of days there, hurricane gloria, and then it goes all the way back to the late 1800s where there was -- 1888 it was closed for a few days and that was because of 40-foot snow drifts. but really the stock market doesn't close very easily and really could put a backup in trading and such. stuart: i'm laughing because the producer and liz macdonald sitting here just said you remember that storm, adopt you, back in -- >> don't you remember the late 1800s? right, exactly. gloria 1996. do you remember that one? stuart: oh i do. i spent a week in new york city that week, had to. bottom line, they're open tomorrow. that's right nicole? >> that's right.

ready. stuart: thanks, nicole. check the big board, where are we? pre-blizzard of '15 we're down seven points. i'm going to call that dead flat. i've not checked, but i'm pretty sure the volume's going to be very, very low. but do look at ibm. the stock's moving up. several reports today they're going to lay off one-quarters of the work force, that's more than 100,000 people. ibm says no, that's incorrect but the stock is still up. disappointing profits at mattel and the ceo resigns some say he was fired. nicole, familiar names like hot wheels and barbie. they're not what they used to be, are they? okay. we call them blizzard stocks, and we always look at them before a big storm. here are home depot, amazon generac, netflix, all except amazon are doing well as the blizzard approaches. here's a totally different subject and a very good question to ask right now. are we negotiating with terrorists? it has been reported that the al-qaeda sleeper agent -- that

guy right there -- he was released last week that it was part of a deal to swap him for two americans who'd been held in prison, hostage basically, in qatar for a couple of years. the author of the world's most dangerous places robert young pelton joins us now. robert, there's a lot of speculation that we did indeed negotiate with terrorists, this was, indeed a terrorist swap a quid pro quo. but the obama team says, no, no, no we don't negotiate with terrorists. there's no dealmaking here. you're laughing. what's the truth of it? >> well, under the obama administration we've done a good job using project says -- proxies much like remember back in the reagan era in the iran contra affair. so what we do is we hire or actually use people to sit in rooms that the state department folks don't sit in they negotiate. the state department then agrees or disagrees with it, but we did that in bergdahl, you know, bowe

bergdahl who was kidnapped by the haqqanis, so this is our new tactic to, essentially use proxies. stuart: essentially it's negotiating with terrorists. kt mcfarland on this program earlier said look, it's an invitation to take more hostages to make more money or to have more hostages to swap. what do you make of this policy? >> well, i don't think hostage taking is going to stop anytime soon. i think the goal of this administration is to shut down or at least flush out places like gitmo and anybody who has been sort of sitting around for a long period of time so that the legacy of this administration is that we clean that up. stuart: well do you agree with that goal? do you think that's a good thing to do right now? >> in some cases, yes in some cases, no. in other words to get a u.s. citizen back, sometimes you have to cut deals with the devil. these terrorists or these people who work in surgeon circles are essentially dub in certain circles, they're essentially

disposable. stuart: so you approve of this? >> it's easier to talk out these folks once they return to their old tricks than to have them sitting -- i think it's a million dollars a year to keep someone in gitmo, for example. stuart: i mean i can see your point if we had a policy of saying, hey, you did this, and we're coming after you. maybe 20 years maybe 30 years before we get you, but we're going to get you. we don't say that, do we? >> no, i don't honestly think we have a policy. i think we take it case by case. i did a very long series called finding bergdahl for "vice" magazine in which i went deep inside u.s. hostage negotiations, and it's very much ad hoc. stuart: okay. robert, we thank you very much for joining us. i think this is going to be an ongoing subject. we welcome your participation in the debate whenever you got the time. we appreciate you being here. >> thanks stewart. stuart: remember senator liz warren's you didn't build that

speech from a few years back? she's at it again. this time she is focusing on the drug companies, and here's the quote: drug company make great contributions, but so do taxpayers. in other words, we built those medical innovations together. all right. let's bring in fox news contributor stephen moore who joins us from washington. what do you make of that? this, to me, ms. warren, senator warren is a collectivist. she's saying there's no such thing as individual liberty in the pursuit of ideas on an individual basis, no we're collectivists. what do you make of that argument? >> this is a mythology that the left has been using for 30 years that somehow all of the great drug advancements and, you know, the big blockbuster, you know, new drugs and vaccines have been a result of the nih. now, the nih does participate many this, but they do the basic research. the real blockbusters are developed by private pharmaceutical companies and

bioengineering companies that do incredible work. by the way i was talking to some of these executives. it costs sometimes half a billion dollars in private investment capital stuart. for senator warren to say we're going to take profits away from you, i think this is even more important, stuart, it's terrible for our health because if you delay or disrupt the development of these new drugs, you're basically, you know a death sentence for people who have alzheimer's, cancer or others. stuart: but arguably, she is leading the charge among democrats not to be necessarily the 2016 presidential candidate but she's leading the intellectual charge pulling that party to the left. and doug schoen, he reports today that in new hampshire and iowa elizabeth warren is polling very very well against hillary clinton. >> yeah. stuart: you're obviously a private enterprise guy. assess for us how strong is the

challenge from the collectivist left vis-a-vis ms. warren? >> well, first of all, it tells you a lot about the modern day democratic party that a nut case like elizabeth warren is, you know, first or second place in the early polling for these democratic primaries. i mean elizabeth warren is a member of the sandinista wing of the democratic party right? she doesn't believe in the free enterprise system. she does want to dramatically raise taxes and regulate these businesses, and the point i was making is, look if you look at obamacare, you know this stewart, obamacare has major taxes already on not just the pharmaceutical company but the vaccine company, the medical device company, all the kind of entrepreneurial breakthroughs they want to tax those. if you tax something, you get lessover it. it's a very simple economic message. and by the way, the research that goes into these drugs, when i mentioned it costs half a billion to bring a new drug to market, you know, only one out of every ten of these even

succeeds. so the amount of risk capital that goes into these is gigantic. if you don't give those investors a return, we're not going to get any more, you know medical progress in this country. stuart: steve, can you give me 20 seconds on the greek election? they went far left. is that in any way bad news for us? [laughter] >> you know, stuart, i just laugh. every time you think the europeans can't do anything dumber -- [laughter] they do. and, you know, the attitude in greece now is, you know, gee we need more government spending we need more welfare we need higher pension programs. the problem with countries like greece -- and you come from that continent -- is the welfare states are out of control the taxes are way too high to pay for it and europeans can't seem to figure that out. so it is bad news for everybody. stuart: stephen moore -- >> are you making a promise to us stuart, that you are going to be behind -- in front of the camera tomorrow when you have one foot of snow out there? stuart: yes.

i'm sleeping in my office. >> i can't wait to see your boots. [laughter] stuart: i promise, i shall be here no matter what, okay? [laughter] stephen, thank you very much indeed. >> take care. stuart: "american sniper" held onto the top spot at the weekend box office another $64 million in ticket sales that means $900 million in two weeks. but -- $200 million in two weeks. but howard dean says the only people who are watching it are quote, very angry. really howard dean said that? this howard dean? >> we're going to california and texas and new york and we're going to south dakota and oregon and washington and michigan! and then we're going to washington, d.c. to take back the white house! yeah! [laughter] stuart: we just had to do that. i'm sorry, we just had to do that. so angry people watch "american sniper," and he says that the tea party is full of angry people therefore, there's something wrong with the tea

party. >> yeah, that's right. exactly, and this is, wow, he's getting a lot of reaction from his comments on the bill maher show. you're right, howard dean said there's a lot of anger in this country, that people who see this movie are angry they're very angry and he said if you look at a cross-section of the tea party the people that see this movie there's going to be an intersection between the tea party and the moviegoers but it's no, women who are going to see the movie and 20-somethings, that there's a broad swath of the population -- men, women 20-somethingst, you know all age groups. no matter what their political leanings, they're going to see the movie stuart. and the other thing it's igniting is this whole debate about the sniper movie, you know? "saving private ryan" had a functional sniper in it who also prayed before he took his shots. but you didn't see any criticism when that movie came out. that's in the debate as well. stuart: good story liz. thank you very much. >> sure. stuart: here's what else we have for you today.

there's a company called mophie. they make smartphone cases actually, that can recharge your phone. no more looking for an outlet you know? a senior executive from mophie joins us after the break. also we are monitoring the east coast blizzard. here it comes. a lot of snow is expected. janice dean will give us her forecast. and then there is the obama administration asked advertiseny if concluded -- disney if it could use "frozen" to promote global warming awareness. full story coming up 12:45 for you. ♪ ♪

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stuart: okay. what you're looking at is the radar shot of the approaching storm, and it's a big one coming up the coastline towards here in new york. some updates for you. new jersey has just declared a

state of emergency, connecticut has instituted a travel ban on state roadways starting at 9:00 eastern. zero visibility expected the storm is intensifying. new york state will close the new york thruway as of 10:00 tonight. come on in, please, fox news senior meteorologist janice dean live in the weather center. you were the one who first told -- [laughter] no, no no don't look guilty. [laughter] stuart: when i was watching you, you were the first to tell me this is a big deal. so tell me, how bad is it? >> well here's the difference, you can look at your run of the mill nor'easters and winter storms that bring feet of snow. the difference is this is a blizzard, and what that means is yes we're going to see a lot of snow, i but we're going to see a period of time where winds are in excess of 50, 60, even 70 miles per hour for a duration of 6-10 hours. that's the difference. it doesn't matter how much snow is on the ground, if it's blowing and you can't see, you are housebound.

you're not going anywhere. the worst of the storm will be overnight tonight and into tomorrow. the low itself has not even pushed offshore, so it hasn't gotten its act together yet even though we are seeing snow on the radar across the interior sections of the northeast, new york city, philadelphia, even d.c. this morning had some snow. this is philadelphia up towards bangor maine, event. d.c. you'll get a couple of inches but the worst of it will be philadelphia. this is new york, that's 12 a.m., and you see the deeper shades of blue. that's where we have whiteout conditions. in some cases 2-4 inches of snow per hour. that is why we have declared this is a major event, a blizzard event with winds in excess of 50, 60 miles per hour all along the coast here. in some cases hurricane-force winds. i know they have hurricane-force wind warnings for cape cod and the islands. so a period of time where you're

seeing 70-80 mile-per-hour winds. this is tuesday still cranking along the jersey shore vermont, new hampshire. but really this is a coastal event. i-95 corridor event. and then tuesday still seeing the snow, tuesday evening for eastern long island and new england. the bull's eye of snow will probably be new england, stuart but the takeaway message is it doesn't matter about the snowfall totals. it matters that we have a blizzard warning for the next 24 hours for these big cities which means travel will be impossible starting tonight. stuart: i think we got the message, janice. >> okay. stuart: we got it from you first, and we appreciate that. thanks so much, janice dean. >> of course. stuart: take a look at the price of apple's stock, please up again today. samsung's going to be the main supplier of processers. apple is a winner in part because of a financial times story which says more iphones are being sold in china than in the united states. that's a breakthrough into the

world's biggest smartphone market. we've been talking a lot about the super bowl ads this year and i'm going to bet that you would not expect to see a super bowl ad for a company that makes mobile battery packs for your cell phone. doesn't quite fit the mold, does it? we have the vice president for marketing for mophie and he joins us now. you make those very popular cases for the iphone. i get the case, and it recharges my iphone. that's your basic product, isn't it? >> it is. we actually make a variety of battery products including cases. our juice pack line, we have that for iphone for samsung most of the flagship products. and we also make external batteries that charge everything from fitness trackers to gopro cameras. stuart: and you are doing so well that you can afford to buy an ad for several million

dollars on the super bowl. how well are you doing? can you -- will you give me i know you're a private company you don't have to do this but will you tell me your gross revenues for 2014? will you tell me? >> so i can't give you numbers i can't do that until my cfo tells me i can do that but we've sold over ten million units worldwide, we have five offices all over the world including asia and europe and we have over 350 employees now. so we're doing remarkably well. we've had tremendous growth over the past few years. stuart: yes you really have. you are a niche market the greatest i've ever seen because the smartphone is the ultimate consumer product these days, and you have products that fit t the smartphone. so let me ask you this, when are you going to go public? [laughter] >> no plans to go public yet. we think there is much more growth we can do as a private company, and i'm not sure when that's going to be on the road

map. but you say we're a niche product, that's true, but it's really a problem that applies to all of us. you talk to anybody nobody is really 100% satisfied with their battery, yet our category awareness and brand awareness is remarkably low. when we look at consumer research, we're showing one in ten people know about the category which means 90% of people out there don't realize that there's a solution. stuart: and i'll bet it's less than one in one hundred who ever knows the name of mophie, but that's your company, and we're going to watch for your ad on the super bowl. i'm sorry, we're out of time, but it was a pleasure to have you with us. thanks very much indeed sir. arizona state offering a class called "the problem with whiteness." we are going to talk with an arizona state student next. and the obama administration wants to use disney's "frozen" to teach kids about global warming. disney's not having any of that. we'll bring you the full story in a moment. ♪ ♪

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stuart: 18 students at arizona state university are now enrolled in a new class.

if you were born a collocation you were automatically privileged. we have an arizona state university student with us now. what exactly are they teaching in this class? >> there is a very vague description of what exactly i are teaching in this class. it is frankly inappropriate and counterproductive. the title certainly suggest that. the problem of weight this. it is saying that there is a problem for being a certain race. stuart: i do not think that is

something that you teach in a university. to teach a course on it, you come out white people, you are perfect. we will tell you all about it. >> i agree stuart. there are a lot of people at my school that do not have the basic job skills to go into the market. perhaps the university should we evaluate. stuart: campus reform.org we have looked for this thing. what can we do about it? >> i would highly suggest talking to us. we have a great throw graham. let us know what is going on at

your university so we can keep universities and professors held accountable. stuart: the state department is trying to convince disney to use "frozen" in a pub like service announcement to warn children about climate change. did not go over so well at disney. >> impressed with the hundreds of children. listen, you are teaching generations of children. they are a frozen magical kingdom out there.

you are right, stuart. disney not key into the idea. stuart: ibm could lay off a quarter of its workforce. governor chris christie. we will talk to the man who raised money for mitt romney in just a moment. ♪

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stuart: i will call this 800 nowhere pretty blizzard market. multiple reports. look who is here. charles payne. where have you been? charles: everywhere but here.

he really does not like ibm. he has a lot of animosity. ibm denied it. this is called project chrome. stuart: it may not be 100,000. >> it is amazing. he let go of 35,000 people right off the bat. cut the dividend. whatever he had to do. >> the same reasoning to be in

place. charles: somple be in storage. i know that there will be some big layoffs. >> three straight years. that is a lot. stuart: let's take a look ahead. a dot fundraiser that formally worked with around me presidential campaign.

you are in a position to tell me which of the three front runners are pulling in the most money at this time. >> it is a timing answer, quite honestly. jeb bush is in the front right now. chris christie is entering the race. he is looking at competing in the presidential election. i do not know where mitt romney falls out. he is still out there talking to donors today. >> you use to raise money for the man. what is your judgment? >> i do not think romney could win, but i think he could run. stuart: bush? >> yes. stuart: what about the meeting that took place between jeb bush and mitt romney.

we reported that the meeting was going to take place. >> we thought that there was going to be something coming out in the news. maybe these guys would team up. right now there aren't a lot of great candidates out there. this would change the game hermetically. have not heard anything. stuart: why don't you just drop out. >> if i had to place a bet i would. what i would like to see is maybe jeb bush teaming up with condoleezza rice. that would change the board. >> chris christie has to do well in the state of new jersey with this blizzard. he has to do well.

>> it will be tough for chris christie. >> drug companies make great contributions, but so do taxpayers. [laughter] stuart: stop it. what do you make of that? >> i do not know what i make of that. thanks a lot. i do not see where that fits. i think that jeb bush will pull this together. right now there are a lot of big mega- donors out there. he did great in iowa. i thought that he would. the establishment is still kind of the christie, romney, bush.

>> who has the best appeal? >> i suggested that a bush / rice combination would be the best. if you take out the establishment, i think walker -- charles: you have to get to the primary. it is a conundrum for the republican. stuart: you say it is jeb bush. >> think you very much indeed. the box.com ipo. they let you store your data on the cloud. how safe is your information on the cloud? we have an informational hacker

to answer the question. ♪

nicole: i abhor fox business brief. the dow jones industrial baruch is down.

the s&p 500 and nasdaq are to the upside. taking a look at some of those airlines. very limited flights. united and southwest have of pharaohs. all four of those names actually hit 52 week highs today. mattel has been under pressure. the ceo resigning. hosted, to some point. microsoft, texas instruments both are lower. ♪

stuart: breaking news from the department of health and human services. new rules on how doctors get paid for their medicare and medicaid services. >> basically based on quality care. they have to prove that their patients got healthier. the incoming secretary wants to increase the performance based pay. stuart: half of your medicare payouts has to be justified by the dr. to say, yeah, it was

quality care. i am proving it. >> already, there is a shortage of doctors that will treat. >> exactly. stuart: i am sure all of our medicare recipients will be either to hear this news. thank you very much. box.com is up again. they went public on friday. your company, you work on security for the cloud. box.com stores my stuff in the cloud. can you tell me that my stuff is 100% safe on the cloud? >> no. that is putting much impossible.

we are relying on faith that they are doing the right sayings. you leave the key with the thing. stuart: all kinds of information. it is now being stored on the cloud. this interview is actually a warning. >> that is right. nothing is 100% in life. the company is probably doing a better job and you could do on your own. companies are putting your data out in the cloud rather than taking the precautions directly. stuart: thank you for joining

us. i am sorry that this is so short. samuel burkle's, everyone. thank you very much, indeed. are you going to buy box shares where they are now? >> no. i would not recommend any investor do it for the reasons you just talked about. it is a very crowded space. amazon is there. microsoft is there. what is there that is innovative? >> these stocks would take a hammering, i would suspect. i want you to tell me about alli baba. >> even if the stock show some weakness, this stock is a game

changer. i would not want to be amazon right now. it is a cash rich company. unlike many of the western internet companies, this is an equal percent profit margin. stuart: do you still think that ali baba will ultimately buy out yahoo!? >> yes, i do. i think they are waiting or yahoo! to show any glimmer of promise. stuart: you would buy alli baba and sell amazon at this point. >> that is absolutely right. stuart: thank you for being with us. we appreciate it. we will see you soon. , who girl. why would anyone call a world

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stuart: we are joined now by charles smith. he just won an extremely prestigious award. welcome. >> thank you. glad to be here. stuart: congratulations. >> very happy. very honored for the award. stuart: this wine here, you called it kung fu girl. why on earth would you call it world class wine this? >> i want to communicate the language one in modern terms. a new world wine story.

i have people that say it is their favorite wine. a classic winemaker. stuart: it was shadow margot. kung fu girl? [laughter] >> there is skinny girl vodka. i think you are onto something. >> kung fu girl, for example i made 330 cases of wine. this year, i will make 750,000 cases. just over 9 million bottles of wine. i own it myself and get free.

stuart: and debt-free. would you care to sell out? >> would you care to sell out? >> this is my dream. would you sell your dream? >> of all the wines that you produce -- what is your personal favorite? >> i like making traditional wine. stuart: can i buy it all across the country? >> i have 15,000 on my mailing list. stuart: hold on a second. if i wanted to buy one bottle of this, how much? 750 cases a year.

gross revenue in the neighborhood of 10 million. >> my business is over $40 million a year. stuart: that is gross revenues. stuart: what is your margin? >> pretty dam good. [laughter] stuart: is that deliver it? >> stay true to ourselves. the communication is direct and pure. stuart: do you swallow it or do you spit it out? >> i swallowed a fair amount of said yesterday. stuart: thank you very much.

>> think you so much. stuart: more varney and a moment. almost out of time. ♪ they challenge us. they take us to worlds full of heroes and titans. for respawn, building the best teractive entertainment begins with the cloud. this is "titanfall," the first multi-player game built and run on microsoft azure. empowering gamers around the world to interact in ways they never thought possible. this cloud turns data into excitement. this is the microsoft cloud.

stuart: totally out of time. pre-blizzard, that is. deirdre: 10% of the u.s. uses digital wallets. apple and google want to change that. we will show you how they are trying. >> google and cablevision both planning to steal business from verizon and at&t at the same time. today's addition of the "wall street journal" has the article here.